HHS has some explaining to do on unregistered $66 million CO-OP grant awardee

Last week we reported that “Hospitality Health CO-OP,” the union-sponsored organization that on Friday received a $66 million grant from the Department of Health and Human Services (HHS), is not registered as an entity in Nevada where HHS reports it will be offering insurance.

Today, we search the registered entity databases of every state in the Union along with the District of Columbia and Puerto Rico, and we could not find any entity named “Hospitality Health CO-OP.”[1]

HHS has some explaining to do because the CO-OP grant program requires that CO-OP grant applicants have an “official certificate of organization”:

The applicant must submit a copy of the organization’s official certificate of organization or similar document, e.g., articles of incorporation, showing the State or tribal seal that clearly establishes nonprofit status. An application for nonprofit status does not satisfy this requirement.[2]

Unless HHS has the name of the $66 million CO-OP grant awardee wrong, they may very well have given a grant to an organization that has not met this requirement.

But if the awardee is not called "Hospitality Health CO-OP" why would HHS say they were the awardee?

In any case, HHS has some questions to answer.


[1] Searched on May 22, 2012 using links available at http://www.secstates.com/.
[2] U.S. Dep’t of Health and Human Services, et al., Consumer Operated and Oriented Plan [CO-OP] Program; Amended Announcement; Invitation to Apply, Loan Funding Opportunity Number: OO-COO-11-001 (Dec. 9, 2011) 35.

Update (5/30/2012): Internal HHS Document: "Hospitality Health CO-OP" incorporated in Delaware--Search of Delaware site shows CO-OP must have a different name.